Fat tax or thin subsidy? How price increases and decreases affect the energy and nutrient content of food and beverage purchases in Great Britain.

Suboptimal diet is a leading risk factor for early death and disability globally. Changing food prices via tax or subsidy policies is often recommended to improve diets, particularly increasing the relative price of sugar-sweetened beverages to reduce sugar consumption. Less evidence exists on how such policies, if applied across a wide range of foods and beverages, could affect purchases and diet quality. Using home-scan data from a sample of 26,799 households in Great Britain (2012-2013) we estimate separate demand elasticities for price increases and decreases using a reference-price dependent demand model, to simulate the impact of a 20% price change on purchases of energy and nutrients from 26 healthier and less healthy food groups that make up the full basket of purchases. Where asymmetry exists between elasticity of price increase and decrease, household response to price increases is stronger. Households with low socio-economic status (SES) respond to price changes in either direction more strongly than high-SES, especially for less healthy foods. On average, energy and nutrient content of take-home purchases were near or above reference daily intake levels. The combined effect of increasing the price of all less healthy foods, and decreasing the price of all healthier foods, led to an overall improvement with a net reduction in energy (by 67.6kcal per capita/day), sugar (6.3g), salt (0.21g) and saturated fat (2.3g) content, and a net increase in protein (3.4g) and fibre (0.9g) content of purchases. From individual food groups, the greatest reduction in energy, sugar and saturated fat content was observed for price increases in sweet snacks, desserts and puddings, and fats and oils. Dietary quality of the purchases of low-SES households generally improved most. Our findings support the view that price change policies can lead to dietary improvements, if they are based on the healthiness of food and beverages

Persistent consumer response to a nationwide food safety recall in urban India

Little is known about consumer response to food safety recalls in low- and middle- income countries. Using an event-study framework, this paper examines the immediate and long-term changes in noodle purchases after the nationwide removal of Maggi instant noodles from the market in India in 2015. We show that this recall had a negative impact on the purchases of Maggi noodles among urban households for at least two years. This provides evidence of the huge costs of recalls on food producers that can be leveraged by policymakers to promote food safety. We also find strong evidence for a positive spillover effect to non-Maggi noodles that is more persistent among households with more regular purchasing habits of Maggi noodles. This indicates that consumers with more persistent habits of buying a recalled product are less likely to stigmatize alike food products under different brands. Our results are robust to alternative assumptions of pre-trends in purchases and placebo tests

How much priority is given to nutrition and health in the EU Common Agricultural Policy?

Agriculture in the European Union (EU) is strongly influenced by the Common Agricultural Policy (CAP). There have been repeated calls for CAP to address nutrition-related health, particularly obesity and non-communicable disease (NCD) in the EU. However, aligning agricultural policy such as CAP with nutrition is complex, not least because the aims of agricultural policy are predominantly economic, presenting a challenge for developing coherence between agricultural trade and health policy. This research examined the political priority given to nutrition-related health concerns within CAP to date, and the solutions suggested by agricultural, trade and health policy-makers and public health nutrition advocates, via interviews of 20 high-level participants from respective sectors. The participants provided diverse perspectives, often varying by sector and institution, on the connections between agricultural policy and nutrition-related health, the extent to which nutrition concerns have "been addressed via CAP and whether CAP is an appropriate and effective policy approach to improve nutrition-related health in the EU in the future. The key findings suggest the need for communication and agreement of clear high-level nutrition guidelines, clarity on the EU mandate to address nutrition-related health concerns via policy, and stronger engagement of civil society in the issues if CAP is to address nutrition more than it is doing currently. The difference in worldviews between agricultural/trade representatives, and those from public health, also needs to be addressed. (C) 2015 The Authors. Published by Elsevier Ltd. This is an open access article under the CC BY-NC-ND license (http://creativecommons.orgilicenses/by-nc-nd/4.0/)

Healthy returns: Opportunities for market-based solutions to childhood obesity

Healthy Returns is a report looking at opportunities for market-based solutions to childhood obesity, focusing on the growing number of challenger brands and products and how they can address the unmet need for healthy, affordable food options for families on low incomes

Effect of increasing the price of sugar-sweetened beverages on alcoholic beverage purchases: an economic analysis of sales data.

BACKGROUND: Taxing soft-drinks may reduce their purchase, but assessing the impact on health demands wider consideration on alternative beverage choices. Effects on alcoholic drinks are of particular concern, as many contain similar or greater amounts of sugar than soft-drinks and have additional health harms. Changes in consumption of alcoholic drinks may reinforce or negate the intended effect of price changes for soft-drinks. METHODS: A partial demand model, adapted from the Almost Ideal Demand System, was applied to Kantar Worldpanel data from 31 919 households from January 2012 to December 2013, covering drink purchases for home consumption, providing ~6 million purchases aggregated into 11 groups, including three levels of soft-drink, three of other non-alcoholic drinks and five of alcoholic drinks. RESULTS: An increase in the price of high-sugar drinks leads to an increase in the purchase of lager, an increase in the price of medium-sugar drinks reduces purchases of alcoholic drinks, while an increase in the price of diet/low-sugar drinks increases purchases of beer, cider and wines. Overall, the effects of price rises are greatest in the low-income group. CONCLUSION: Increasing the price of soft-drinks may change purchase patterns for alcohol. Increasing the price of medium-sugar drinks has the potential to have a multiplier-effect beneficial to health through reducing alcohol purchases, with the converse for increases in the price of diet-drinks. Although the reasons for such associations cannot be explained from this analysis, requiring further study, the design of fiscal interventions should now consider these wider potential outcomes.Funding - This study was funded by the UK Department of Health Policy Research Programme (107/0001-Policy Research Unit in Behaviour and Health). LC is funded by an MRC fellowship grant MR/L012324/1. The views expressed in this article are those of the authors and not necessarily those of the UK Department of Health. The UK Department of Health had no role in the writing of the manuscript but approved the decision to submit the manuscript for publication

Estimating the Relationship between Food Prices and Food Consumption—Methods Matter

Concerns about the growing prevalence of obesity worldwide have led researchers and policy makers to investigate the potential health impact of fiscal policies such as taxes on unhealthy foods. A common instrument used to measure the relationship between food prices and food consumption is the price elasticity of demand. Using meta-regression analysis we assessed how differences in methodological approaches to estimating demand affected food price elasticities. Most methodological differences had a statistically significant impact on elasticity estimates, which stresses the importance of using meta-estimates or testing the sensitivity of simulation outcomes to a range of elasticity parameters before drawing policy conclusions

Escaping the Red Queen: Health as a corporate food marketing strategy

© 2021 Published by Elsevier Ltd. This is an open access article under the CC BY-NC-ND licence. https://creativecommons.org/licenses/by-nc-nd/4.0/Public health advocates highlight the role of corporate actors and food marketing in shaping diets and health. This study analyses insider-oriented communications in food industry magazines in the UK to analyse actions and narratives related to health and nutrition, providing insights into relatively overlooked areas of marketing strategy including inter-firm dynamics. From a sample of four specialized food industry magazines covering the main industry segments we identified 319 articles (published 2007–2018) mentioning health or nutrition together with industry actions affecting the food environment. We identified health-related actions and analysed underlying strategies through content and thematic analyses. Health and nutrition have a rapidly growing role in food marketing strategy. Content analysis revealed a focus on ultra-processed foods, as well as product and nutrient-specific trends including increased health-based marketing of snacks and “protein rich” products. Health-related actions predominantly relied on consumer agency rather than invoking structural food environment changes. Thematic analysis identified proactive and defensive marketing strategies. Proactive approaches included large investments in health-related promotion of ultra-processed foods which are made highly visible to competitors, and the reliance on a “credence goods” differentiation strategies. Defensive strategies included a ‘Red Queen’ effect, whereby firms take health-related actions to keep up with competitors. These competitive strategies can create challenges, as well as some opportunities, for public health promotion. Challenges can include undermining efforts to support product comparison and healthier choice, and limiting firms’ engagement in specific health improving actions. Systematic analysis of health-oriented marketing strategies could support more effective public health intervention.Peer reviewedFinal Published versio

The impact of UK soft drinks industry levy on manufacturers’ domestic turnover

In March 2016, the UK government announced the Soft Drinks Industry Levy (SDIL) which came into effect in April 2018. In common with the reaction to sugar-sweetened beverage (SSB) taxes in other countries, the SDIL announcement was met with strong industry opposition, with claims that it would harm their profits. The SDIL was designed to incentivise reformulation of SSBs by providing a 2-year delay between the announcement and the enforcement of the levy, and adopting a two-tiered rate based on the sugar content of the drinks. Using interrupted time series analysis, this paper examines how the domestic turnover of UK soft drinks manufacturers changed after the announcement and the implementation of the SDIL. Our results show some evidence of a short-term negative impact of the SDIL announcement on the domestic turnover of the UK soft drinks manufacturers. This effect, however, did not continue post-implementation. These findings suggest that manufacturers were, to a large extent, able to mitigate the effects of levy before it came into effect